Market eqb. Flashcards
(3 cards)
1
Q
What is market Equilibrium
A
The level of output where quantity of demanded = quantity supplied
2
Q
What is Excess Demand
A
Quantity demanded is greater than quantity supplied.
-> will resort in a shortage of goods
3
Q
Excess supply
A
-> Quantity supplied is greater than demand
-> Results in a surplus of goods
